According to research commissioned by Amazon Web Services (AWS), more than a third of European businesses used AI in 2023, paving the way for the technology's adoption to deliver an economic impact of approximately EUR3.4 trillion by 2030.
Utilizing AI to Meet EC Digital Targets
The research, conducted by consulting firm, Strand Partners, discovered that growth could occur if European enterprises' current trajectory of AI deployments is maintained. The EUR3.4 trillion figure represents an increase of approximately EUR600 billion overestimates made in 2023, owing primarily to a surge in generative AI during the said year. According to Strand Partners, the survey sought to examine Europe's progress toward meeting the European Commission's (EC) digital targets.
AI is driving digital transformation by enabling data-driven decision-making, automation, and process optimization. Through AI-powered analytics, companies gain insights into market trends and consumer behavior, allowing them to make informed strategic decisions and stay ahead in competitive markets. Moreover, AI facilitates personalized customer experiences, enhancing satisfaction and loyalty, which aligns with the EC's goal of promoting digital innovation and improving user engagement.
Additionally, AI contributes to cybersecurity efforts, with companies employing AI-driven solutions to detect and mitigate cyber threats, bolstering trust in digital technologies. Investments in AI research and innovation further propel Europe's digital agenda, fostering collaboration and driving economic growth. By harnessing AI's capabilities, companies play a pivotal role in building a resilient and competitive digital economy that aligns with the EC's vision for a digitally-driven Europe.
Critical Areas of Digital Adoption
Respondents from the European Union, the United Kingdom, and Switzerland provided data, representing over 16,000 citizens and 14,000 businesses. More than half of the businesses surveyed said digital technologies are critical to their operations, up from 42% in 2022. Meanwhile, European citizens believe AI will "positively transform key public services," such as education, healthcare, agriculture, sports, and culture. As per AWS, the latest study provided a more optimistic outlook than the EC's 2023 research, which found that European companies' adoption of digital technologies is still well below its targets.
However, AWS warned that in order to fully realize the potential of AI, Europe must address three critical areas: creating a "pro-innovation environment," closing a skills gap, and ensuring that all businesses have access to new technologies. Larger companies are reportedly the primary adopters of AI and other digital technologies.
